GIC, Singapore's sovereign wealth fund, is taking a long view on its real-estate investments, particularly eyeing emerging markets despite recent turmoil, the president of the fund's property division said.
The usually tight-lipped fund has plenty of dry powder to pursue property deals. The fund, which manages upwards of $100 billion, has an allocation of 9-13 percent of its portfolio toward property, but at the moment only around 7 percent has been invested in the segment. GIC's property portfolio has more than 350 investments in over 40 countries. GIC's mandate bars it from investing in Singapore's property market.
Goh Kok Huat, who is also GIC's chief operating officer, said GIC is watching emerging markets closely. He cited statistics showing that the Brics -- or Brazil, Russia, India and China -- together with Indonesia and Turkey will become the single largest contributing bloc to global gross domestic product (GDP) over the next 10-15 years.
"If your sights are set on the long term, the emerging markets must be where you ought to be," Goh said at the AsiaPac Property Leaders Summit in Singapore Wednesday.